Back to Recent Posts

New Video: Understanding EBITDA

In the realm of performance metrics, many people in the investment and corporate communities use the term EBITDA (Earnings before interest, taxes, depreciation, and amortization).  Why is this term used?  It’s not the same as cash flow, but the metric is only a few steps away.  In this video, Jesse Gillett looks at EBITDA in three steps:

  1. Deduct operating taxes,
  2. Deduct capital expenditures, and
  3. Working capital investments

Check out the video to get the full picture. Stay tuned here on our website for future videos and we encourage you to subscribe to our YouTube channel as well.